New Michigan tax raises questions for brokerage firms

The 6% tax passed by the Michigan Legislature on Oct. 1 is prompting a lot of questions about what kinds of financial services will be taxed. For example, brokerage commissions are exempt from the tax, but it is unclear whether investment advisory fees will be taxed. "That's one of the areas where we're trying to get clarification," said Travis Larson of SIFMA, which is opposed to the tax.